Police & Fire Retirement Board

REGULAR MEETING MINUTES OF THE STERLING HEIGHTS POLICE AND FIRE RETIREMENT SYSTEM, ACT 345 SEPTEMBER 20, 2012 FIRE DEPARTMENT CONFERENCE ROOM 41625 RYAN ROAD STERLING HEIGHTS, MI 48313 1. The regular meeting of the Police and Fire Retirement System was called to order by President Solak at 4:00 p.m. 2. Board Members present: Solak, Wellhausen, Nash, Lamerato, Varney. Also present: Susan Gallagher; Tom Michaud, Legal Counsel; and Nancy Duyck, Pension Technician. 3. APPROVAL OF CONSENT AND REGULAR AGENDAS Motion by Lamerato, supported by Wellhausen, to approve the consent agenda as presented. Ayes: All. The motion carried. The following items were added to the regular agenda: 10 a 24 Susan Gallagher letter – information - discussion 25 Telephone – discussion Motion by Wellhausen, supported by Lamerato, to approve the regular agenda as amended. Ayes: All. The motion carried. 4. APPROVAL OF MINUTES No corrections were made to the draft minutes of the regular meeting of August 16, 2012. Motion by Varney, supported by Nash, to approve the minutes as presented. Ayes: All. The motion carried; the minutes of the regular meeting of August 16, 2012 are hereby approved. No corrections were made to the draft minutes of the special meeting of August 22, 2012. Motion by Lamerato, supported by Varney, to approve the minutes as presented. Ayes: Lamerato, Varney, Solak, Wellhausen. Abstain: Nash. The motion carried; the minutes of the special meeting of August 22, 2012 are hereby approved. 5. CITIZEN PARTICIPATION There was no Citizen participation 6. REPORT FROM LEGAL COUNSEL No formal legal report was presented. Mr. Michaud reported on current legislation. HB 797 passed the House and will go to the Governor for his signature. This bill involves revisions to Act 314. Mr. Michaud commented on items of old business as they were considered. The following item was taken out of order of the published agenda. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION Old Business 24. Susan Gallagher letter – information - discussion – cont. Susan Gallagher, daughter of deceased retiree John Gallagher, was in attendance to submit a letter requesting information from the Board. Legal Counsel stated that once an employee retires and dies, the beneficiary designation couldn’t be changed. The pension was administered according to Act 345 and the MAP contract. The Board received and filed the letter from Ms. Gallagher. No formal motion was made. The Board returned to the published agenda. CONSENT AGENDA 7. CORRESPONDENCE a. Correspondence to Comerica dated August 23, 2012 re: termination of MD Sass and termination of the Securities Lending Program. b. Correspondence from Horizon dated August 17, 2012 re: termination. c. Correspondence from Intercontinental dated August 15, 2012 re: distribution from the U.S. REIF Fund. d. Other correspondence received from: 1. ING Investment Management 2. MAPERS summer 2012 newsletter 3. Merrill Lynch – market value updates 4. Robbins Geller Rudman & Dowd LLP e. Magazines received: 1. Pensions & Investments for August 20, 2012 and September 3, 2012. 2. Institutional Investor for September 2012 3. Plan Sponsor for September 2012 8. BILLS AND EXPENDITURES b. Disbursements to retirees/members other than monthly benefit payments There were no disbursements to retirees/members other than monthly benefit payments this month. CONSENT AGENDA 8. BILLS AND EXPENDITURES – cont. c. Checking Account Summary Beginning Balance $4,928.39 8/01/12 Additions (1) 1. 8/22 $5,000.00 Subtractions (5) $2,098.55 1. 8/21 Check 1884 45.77 City of S.H. – printer charges 2. 8/27 Check 1885 79.44 Office Depot Order 3. 8/17 Check 1886 99.75 ND – postage reimbursement 4. 8/03 Check 5217 936.79 Contract Payment Nancy Duyck 5. 8/17 Check 5219 936.80 Contract Payment Nancy Duyck Electronic withdrawals (4) $1,266.25 1. 8/08 348.96 IRS Fed. tax w/h 2. 8/10 106.80 Michigan St. tax w/h 3. 8/13 461.54 IRA contribution 4. 8/22 348.95 IRS Fed. tax w/h Ending Balance $6,563.59 8/31/12 d. Transmittal of Checks 1. $356.10 received from the U.S. Treasury for the refund of an overpayment. 9. FUNDS MANAGEMENT a. The current value of funds as of August 31, 2012 is detailed below: Clearing account $ 1,169,219.46 Intercontinental $ 8,317,767.92 McDonnell $ 16,044,607.08 MD Sass $ 7,739.39 Pimco $ 16,282,086.22 Wamco $ 16,291,049.07 Eagle $ 17,986,701.03 Herndon $ 18,576,401.48 Earnest Partners $ 9,730,775.80 NFJ/Allianz $ 13,993,711.88 CONSENT AGENDA 9. FUNDS MANAGEMENT a. The current value of funds as of August 31, 2012 is detailed below: - cont. AIM/Invesco $ 13,563,283.86 Janus $ 18,739,741.43 Winslow $ 17,690,011.86 Checking account $ 6,563.59 TOTAL FUNDS $ 168,399,660.07 b. The Board received a copy of the Summary of Employer Contributions to the Police and Fire Retirement System for the 2012 tax year as of 8/29/12. The System has received $4,680,517.70 of the 2012/13 budget of $8,815,031.00, leaving a $4,134,513.30 balance. c. A Securities Loan Statement Recap sheet as of 7/31/12 is enclosed showing the amounts received each month in the Securities Loan Program. Our earnings for the 2012/13 fiscal year through 7/31/12 are $48.84. d. Benefit Register Listing as of September 1, 2012 from Comerica Bank showing 292 retirees/beneficiaries with a payout for September of $1,155,257.51 and a year-to-date of $11,785,095.75. d. The current Merrill Lynch Bond index for August 2012 is 1.60%. 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 1. Abel/Noser Reports for July 2012 Abel/Noser has supplied the July 2012 report. 2. 2012 Annual verifications The 2012 annual verifications were mailed out on August 15, 2012 to all retirees/beneficiaries receiving benefits from the Retirement System. The verifications are due back to the Pension Office by October 1, 2012. REGULAR AGENDA 8. BILLS AND EXPENDITURES  a. Disbursements other than retiree benefit payments (bills) 1. Disbursement to MD Sass in the amount of $9,294.22 for final investment management fees for the period 7/1/12 through 8/7/12. 2. Disbursement to Mark Wellhausen in the amount of $1,436.89 for travel expenses for the 2012 Fall MAPERS Conference on Mackinac Island. Motion by Solak, supported by Nash, to approve the bills as presented. Ayes: Solak, Nash, Lamerato, Varney. Abstain: Wellhausen. The motion carried. 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 3. Mark Johnson – partial DROP distribution – discussion Mark Johnson of the Police Department terminated his DROP retirement as of June 29, 2011. He is requesting a partial DROP distribution from his DROP account. Motion by Solak, supported by Wellhausen, to approve the partial DROP distribution. Ayes: All. The motion carried. 4. Pension Technician contract – discussion The Pension Technician’s contract expired on September 13, 2012. Due to existing wage concessions for the 2012-13 fiscal year of 5% from the previous year, this is a contract renewal only. Motion by Wellhausen, supported by Varney, to approve the contract renewal for one year for the Pension Technician. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a.Old Business 4. Pension Technician contract – discussion – cont. Ayes: All. The motion carried. 5. James Wood Jr. - annuity withdrawal question – discussion Sergeant James Wood Jr. applied for the DROP from the Police Department effective June 17, 2012. The Board received correspondence from Sgt. Wood requesting additional interest due to the fact that payment will not be received until the first week of October 2012. Legal Counsel stated that the Plan does not provide for additional interest since the Board has 120 days to distribute the annuity withdrawal. The Board received and will file the correspondence from Mr. Wood. No formal motion was made. President Solak will notify James Wood Jr. 6. James Wood Jr. - DROP resolution and annuity withdrawal – discussion Sgt. James Wood Jr. applied for the DROP from the Police Department effective June 17, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-1 WHEREAS, SERGEANT JAMES WOOD JR. of the Police Department has voluntarily elected to participate in the DROP per application dated April 10, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT JAMES WOOD JR. has elected to DROP, effective June 17, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, SERGEANT JAMES WOOD JR. has served the City of Sterling Heights Police Department for 21 years, 10 months and 28 days, which includes 8 years, 5 months and 19 days of municipal service credit, and 1 year and 1 month of lost time, as of the date of the DROP election, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 6. James Wood Jr. - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT JAMES WOOD JR. meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT JAMES WOOD JR. and his spouse, SUSAN WOOD, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT JAMES WOOD JR. has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT JAMES WOOD JR., as a result of this data, therefore be it RESOLVED, that SERGEANT JAMES WOOD JR., after having been credited with 21 years, 10 months and 28 days, as of the date of the DROP election, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 17, 2012, and further RESOLVED, that SERGEANT JAMES WOOD JR.’s request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 6. James Wood Jr. - DROP resolution and annuity withdrawal – discussion – cont. RESOLVED, that SERGEANT JAMES WOOD JR. shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $66,081.39, and a yearly regular retirement pay in the amount of $70,906.68 or monthly benefits of $5,908.89, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT JAMES WOOD JR. the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. 7. David Smith - DROP resolution – discussion Lieutenant David Smith applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-2 WHEREAS, LIEUTENANT DAVID SMITH of the Police Department has voluntarily elected to participate in the DROP per application dated April 3, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, LIEUTENANT DAVID SMITH has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, LIEUTENANT DAVID SMITH has served the City of Sterling Heights Police Department for 21 years and 22 days, which includes 3 years, 9 months and 2 days of military service credit and 5 months and 28 days of college service credit, as of the date of the DROP Election, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 7. David Smith - DROP resolution – discussion – cont. WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that LIEUTENANT DAVID SMITH meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that LIEUTENANT DAVID SMITH meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to LIEUTENANT DAVID SMITH and his spouse, KAREN SMITH, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, LIEUTENANT DAVID SMITH has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due LIEUTENANT DAVID SMITH, as a result of this data, therefore be it RESOLVED, that LIEUTENANT DAVID SMITH, after having been credited with 21 years and 22 days, as of the date of the DROP Election, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 7. David Smith - DROP resolution – discussion – cont. RESOLVED, that LIEUTENANT DAVID SMITH request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that LIEUTENANT DAVID SMITH shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $82,644.32, and a yearly regular retirement pay in the amount of $82,764.00 or monthly benefits of $6,897.00, after DROP participation and termination of employment, and further RESOLVED, that LIEUTENANT DAVID SMITH shall be credited $7,128.53 monthly during the period of DROP participation because distribution of the annuity withdrawal was deferred until termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay LIEUTENANT DAVID SMITH the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the DROP resolution as presented. Ayes: All. The motion carried. 8. John Berg - DROP resolution and annuity withdrawal – discussion Captain John Berg applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-3 WHEREAS, CAPTAIN JOHN BERG of the Police Department has voluntarily elected to participate in the DROP per application dated April 3, 2012, as submitted to the Police and Fire Retirement Board, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 8. John Berg - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, CAPTAIN JOHN BERG has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, CAPTAIN JOHN BERG has served the City of Sterling Heights Police Department for 25 years and 6 days, which includes 2 years, 2 months and 20 days of college service credit, as of the date of the DROP Election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that CAPTAIN JOHN BERG meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to CAPTAIN JOHN BERG and his spouse, KAREN BERG, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, CAPTAIN JOHN BERG has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due CAPTAIN JOHN BERG, as a result of this data, therefore be it REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 8. John Berg - DROP resolution and annuity withdrawal – discussion – cont. RESOLVED, that CAPTAIN JOHN BERG, after having been credited with 25 years and 6 days, as of the date of the DROP Election, and is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, that CAPTAIN JOHN BERG request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that CAPTAIN JOHN BERG shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $115,777.39, and a yearly regular retirement pay in the amount of $96,459.36 or monthly benefits of $8,038.28, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay CAPTAIN JOHN BERG the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. 9. James Belmonte - DROP resolution and annuity withdrawal – discussion Sgt. James Belmonte applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-4 WHEREAS, SERGEANT JAMES BELMONTE of the Police Department has voluntarily elected to participate in the DROP per application dated March 27, 2012, as submitted to the Police and Fire Retirement Board, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 9. James Belmonte - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, SERGEANT JAMES BELMONTE has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, SERGEANT JAMES BELMONTE has served the City of Sterling Heights Police Department for 24 years, 1 month and 28 days which includes 3 years of college service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT JAMES BELMONTE meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT JAMES BELMONTE and his spouse, CARRIE BELMONTE, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT JAMES BELMONTE has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT JAMES BELMONTE, as a result of this data, therefore be it REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 9. James Belmonte - DROP resolution and annuity withdrawal – discussion – cont. RESOLVED, that SERGEANT JAMES BELMONTE, after having been credited with 24 years, 1 month and 28 days as of the date of the DROP election, and is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, that SERGEANT JAMES BELMONTE request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that SERGEANT JAMES BELMONTE shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $100,883.29, and a yearly regular retirement pay in the amount of $95,798.88 or monthly benefits of $7,983.24, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT JAMES BELMONTE the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. 10. Patrick DePriest - DROP resolution and annuity withdrawal – discussion Sergeant Patrick DePriest applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 10. Patrick DePriest - DROP resolution and annuity withdrawal – discussion – cont. R 12-9-20-5 WHEREAS, SERGEANT PATRICK DE PRIEST of the Police Department has voluntarily elected to participate in the DROP per application dated April 11, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT PATRICK DE PRIEST has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, SERGEANT PATRICK DE PRIEST has served the City of Sterling Heights Police Department for 23 years 11 months and 5 days, which includes 3 years of college service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT PATRICK DE PRIEST meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT PATRICK DE PRIEST and his spouse, DANA DE PRIEST, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT PATRICK DE PRIEST has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 10. Patrick DePriest - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT PATRICK DE PRIEST, as a result of this data, therefore be it RESOLVED, that SERGEANT PATRICK DE PRIEST, after having been credited with 23 years, 11 months and 5 days as of the date of the DROP election, and is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, that SERGEANT PATRICK DE PRIEST request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that SERGEANT PATRICK DE PRIEST shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $96,839.02, and a yearly regular retirement pay in the amount of $81,348.72 or monthly benefits of $6,779.06, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT PATRICK DE PRIEST the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business – cont. 11. Paul LaBaere - DROP resolution and annuity withdrawal – discussion Sergeant Paul LaBaere applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-6 WHEREAS, SERGEANT PAUL LA BAERE of the Police Department has voluntarily elected to participate in the DROP per application dated April 11, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT PAUL LA BAERE has elected to DROP, effective June 18, 2012 per Appendix D, Section (A) of the applicable collective bargaining agreement and WHEREAS, SERGEANT PAUL LA BAERE has served the City of Sterling Heights Police Department for 22 years, 9 months and 16 days, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT PAUL LA BAERE meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT PAUL LA BAERE, a single man, and the necessary reports have been reviewed and completed by the Actuary, which includes documentation re: date of birth, and social security number, and WHEREAS, SERGEANT PAUL LA BAERE has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the Trustees acknowledge that an EDRO is on file with the Board, and shall pay pension benefits consistent with said Court Order, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 11. Paul LaBaere - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT PAUL LA BAERE, as a result of this data, and THEREFORE, BE IT RESOLVED, that SERGEANT PAUL LA BAERE after having been credited with 22 years, 9 months and 16 days, as of the date of the DROP election, is hereby granted a service retirement in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, SERGEANT PAUL LA BAERE’s request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that SERGEANT PAUL LA BAERE shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $70,438.89, and a yearly regular retirement pay in the amount of $79,741.32 or monthly benefits of $6,645.11, during DROP participation, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT PAUL LA BAERE the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business – cont. 12. Joseph Tharrett - DROP resolution and annuity withdrawal – discussion Sergeant Joseph Tharrett applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-7 WHEREAS, SERGEANT JOSEPH THARRETT of the Police Department has voluntarily elected to participate in the DROP per application dated April 16, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT JOSEPH THARRETT has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, SERGEANT JOSEPH THARRETT has served the City of Sterling Heights Police Department for 22 years, 4 months and 25 days, which includes 3 years of college service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT JOSEPH THARRETT meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT JOSEPH THARRETT and his spouse, ROSEMARIE THARRETT, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT JOSEPH THARRETT has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 12. Joseph Tharrett - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT JOSEPH THARRETT, as a result of this data, therefore be it RESOLVED, that SERGEANT JOSEPH THARRETT, after having been credited with 22 years, 4 months and 25 days, as of the date of the DROP election, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, that SERGEANT JOSEPH THARRETT request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that SERGEANT JOSEPH THARRETT shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $87,791.67, and a yearly regular retirement pay in the amount of $75,852.60 or monthly benefits of $6,321.05, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT JOSEPH THARRETT the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 12. Joseph Tharrett - DROP resolution and annuity withdrawal – discussion – cont. Ayes: All. The motion carried. 13. Jimmy Fawaz - DROP resolution and annuity withdrawal – discussion Sergeant Jimmy Fawaz applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-8 WHEREAS, SERGEANT JIMMY FAWAZ of the Police Department has voluntarily elected to participate in the DROP per application dated April 17, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT JIMMY FAWAZ has elected to DROP, effective June 18, 2012 per Appendix A of the applicable collective bargaining agreement and WHEREAS, SERGEANT JIMMY FAWAZ has served the City of Sterling Heights Police Department for 23 years, 4 months and 22 days, which includes 2 years of college service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT JIMMY FAWAZ meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT JIMMY FAWAZ, a single man, and the necessary reports have been reviewed and completed by the Actuary, which includes documentation re: date of birth, and social security number, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 13. Jimmy Fawaz - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, SERGEANT JIMMY FAWAZ has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the Trustees acknowledge that an EDRO is on file with the Board, and shall pay pension benefits consistent with said Court Order, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT JIMMY FAWAZ, as a result of this data, and THEREFORE, BE IT RESOLVED, that SERGEANT JIMMY FAWAZ after having been credited with 23 years, 4 months and 22 days, as of the date of the DROP election, is hereby granted a service retirement in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, SERGEANT JIMMY FAWAZ request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that SERGEANT JIMMY FAWAZ shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $100,567.61, and a yearly regular retirement pay in the amount of $75,778.56 or monthly benefits of $6,314.88, during DROP participation, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT JIMMY FAWAZ the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 13. Jimmy Fawaz - DROP resolution and annuity withdrawal – discussion – cont. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. 14. David Sharnas - DROP resolution and annuity withdrawal – discussion Lt. David Sharnas applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-9 WHEREAS, LIEUTENANT DAVID SHARNAS of the Police Department has voluntarily elected to participate in the DROP per application dated April 24, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, LIEUTENANT DAVID SHARNAS has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, LIEUTENANT DAVID SHARNAS has served the City of Sterling Heights Police Department for 24 years, 3 months and 9 days, which includes 3 years of college service credit, as of the date of the DROP Election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that LIEUTENANT DAVID SHARNAS meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to LIEUTENANT DAVID SHARNAS and his spouse, GINA SHARNAS, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 14. David Sharnas - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, LIEUTENANT DAVID SHARNAS has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due LIEUTENANT DAVID SHARNAS, as a result of this data, therefore be it RESOLVED, that LIEUTENANT DAVID SHARNAS, after having been credited with 24 years, 3 months and 9 days, as of the date of the DROP Election, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, that LIEUTENANT DAVID SHARNAS request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that LIEUTENANT DAVID SHARNAS shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $94,909.92, and a yearly regular retirement pay in the amount of $76,282.56 or monthly benefits of $6,356.88, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay LIEUTENANT DAVID SHARNAS the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 14. David Sharnas - DROP resolution and annuity withdrawal – discussion – cont. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried.  15. Thomas McMullen - DROP resolution and annuity withdrawal – discussion Sergeant Thomas McMullen applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-10 WHEREAS, SERGEANT THOMAS MC MULLEN of the Police Department has voluntarily elected to participate in the DROP per application dated April 25, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT THOMAS MC MULLEN has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, SERGEANT THOMAS MC MULLEN has served the City of Sterling Heights Police Department for 22 years, 9 months and 22 days which includes 6 years of municipal service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT THOMAS MC MULLEN meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 15. Thomas McMullen - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT THOMAS MC MULLEN and his spouse, MARIA MC MULLEN, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT THOMAS MC MULLEN has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT THOMAS MC MULLEN, as a result of this data, therefore be it RESOLVED, that SERGEANT THOMAS MC MULLEN, after having been credited with 22 years, 9 months and 22 days as of the date of the DROP election, and is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, that SERGEANT THOMAS MC MULLEN request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 15. Thomas McMullen - DROP resolution and annuity withdrawal – discussion – cont. RESOLVED, that SERGEANT THOMAS MC MULLEN shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $77,495.17, and a yearly regular retirement pay in the amount of $81,648.36 or monthly benefits of $6,804.03, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT THOMAS MC MULLEN the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. 16. Daryl Brown - DROP resolution – discussion Sergeant Daryl Brown applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-11 WHEREAS, SERGEANT DARYL BROWN of the Police Department has voluntarily elected to participate in the DROP per application dated April 30, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT DARYL BROWN has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and WHEREAS, SERGEANT DARYL BROWN has served the City of Sterling Heights Police Department for 24 years and 2 days which includes 2 years, 7 months and 10 days of college service credit, as of the date of the DROP election, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 16. Daryl Brown - DROP resolution – discussion – cont. WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT DARYL BROWN meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT DARYL BROWN and his spouse, JENNIFER FAUNCE, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT DARYL BROWN has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT DARYL BROWN, as a result of this data, therefore be it RESOLVED, that SERGEANT DARYL BROWN, after having been credited with 24 years and 2 days as of the date of the DROP election, and is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, that SERGEANT DARYL BROWN request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 16. Daryl Brown - DROP resolution – discussion – cont. RESOLVED, that SERGEANT DARYL BROWN shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $110,827.34, and a yearly regular retirement pay in the amount of $92,483.40 or monthly benefits of $7,706.95, after DROP participation and termination of employment, and further RESOLVED, that SERGEANT DARYL BROWN shall be credited $8,031.58 monthly during the period of DROP participation because distribution of the annuity withdrawal was deferred until termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT DARYL BROWN the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the DROP resolution as presented. Ayes: All. The motion carried. 17. Mark Schmidt - DROP resolution – discussion Sergeant Mark Schmidt applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-12 WHEREAS, SERGEANT MARK SCHMIDT of the Police Department has voluntarily elected to participate in the DROP per application April 30, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT MARK SCHMIDT has elected to DROP, effective June 18, 2012, per Appendix A of the applicable collective bargaining agreement, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 17. Mark Schmidt - DROP resolution – discussion – cont. WHEREAS, SERGEANT MARK SCHMIDT has served the City of Sterling Heights Police Department for 20 years, 5 months and 14 days, which includes 3 years of college service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT MARK SCHMIDT meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT MARK SCHMIDT and his spouse, SUSAN SCHMIDT, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT MARK SCHMIDT has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT MARK SCHMIDT, as a result of this data, therefore be it RESOLVED, that SERGEANT MARK SCHMIDT, after having been credited with 20 years, 5 months and 14 days, as of the date of the DROP election, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 17. Mark Schmidt - DROP resolution – discussion – cont. RESOLVED, that SERGEANT MARK SCHMIDT request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that SERGEANT MARK SCHMIDT shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $76,893.07, and a yearly regular retirement pay in the amount of $68,931.72 or monthly benefits of $5,744.31, after DROP participation and termination of employment, and further RESOLVED, that SERGEANT MARK SCHMIDT shall be credited $5,972.79 monthly during the period of DROP participation because distribution of the annuity withdrawal was deferred until termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT MARK SCHMIDT the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution as presented. Ayes: All. The motion carried. 18. John Rogers - DROP resolution and annuity withdrawal – discussion Lt. John Rogers applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-13 WHEREAS, LIEUTENANT JOHN ROGERS of the Police Department has voluntarily elected to participate in the DROP per application dated May 22, 2012, as submitted to the Police and Fire Retirement Board, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 18. John Rogers - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, LIEUTENANT JOHN ROGERS has elected to DROP, effective June 18, 2012 per Appendix D, Section (A) of the applicable collective bargaining agreement and WHEREAS, LIEUTENANT JOHN ROGERS has served the City of Sterling Heights Police Department for 25 years and 2 days, which includes 2 years, 2 months and 16 days of college service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that LIEUTENANT JOHN ROGERS meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to LIEUTENANT JOHN ROGERS, a single man, and the necessary reports have been reviewed and completed by the Actuary, which includes documentation re: date of birth, and social security number, and WHEREAS, to LIEUTENANT JOHN ROGERS has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due LIEUTENANT JOHN ROGERS, as a result of this data, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 18. John Rogers - DROP resolution and annuity withdrawal – discussion – cont. THEREFORE, BE IT RESOLVED, that LIEUTENANT JOHN ROGERS after having been credited with 25 years and 2 days, as of the date of the DROP election, is hereby granted a service retirement in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, LIEUTENANT JOHN ROGERS request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that LIEUTENANT JOHN ROGERS shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $111,022.10, and a yearly regular retirement pay in the amount of $91,536.84 or monthly benefits of $7,628.07, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay LIEUTENANT JOHN ROGERS the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. 19. Scott Troszak - DROP resolution and annuity withdrawal – discussion Police Officer Scott Troszak applied for the DROP from the Police Department effective June 18, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-14 WHEREAS, OFFICER SCOTT TROSZAK of the Police Department has voluntarily elected to participate in the DROP per application dated April 30, 2012, as submitted to the Police and Fire Retirement Board, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 19. Scott Troszak - DROP resolution and annuity withdrawal – discussion – cont. WHEREAS, OFFICER SCOTT TROSZAK has elected to DROP, effective June 18, 2012, per Appendix D, Section (A) of the applicable collective bargaining agreement and WHEREAS, OFFICER SCOTT TROSZAK has served the City of Sterling Heights Police Department for 21 years, 2 months and 24 days, which includes 5 months and 7 days of municipal service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that OFFICER SCOTT TROSZAK meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to OFFICER SCOTT TROSZAK and his spouse, PAMELA TROSZAK, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, OFFICER SCOTT TROSZAK has reviewed this data and has elected to receive his service retirement benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due OFFICER SCOTT TROSZAK, as a result of this data, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 19. Scott Troszak - DROP resolution and annuity withdrawal – discussion – cont. THEREFORE, BE IT RESOLVED, that OFFICER SCOTT TROSZAK after having been credited with 21 years, 2 months and 24 days, as of the date of the DROP election, is hereby granted a service retirement in accordance with Act 345 and the collective bargaining agreement, effective June 18, 2012, and further RESOLVED, OFFICER SCOTT TROSZAK’s request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that OFFICER SCOTT TROSZAK shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $95,193.99, and a yearly regular retirement pay in the amount of $66,058.44 or monthly benefits of $5,504.87, during DROP participation and after termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay OFFICER SCOTT TROSZAK the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution and approve the annuity withdrawal as presented. Ayes: All. The motion carried. 20. Richard Boughton - DROP resolution – discussion Captain Richard Boughton applied for the DROP from the Fire Department effective June 19, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 20. Richard Boughton - DROP resolution – discussion – cont. R 12-9-20-15 WHEREAS, CAPTAIN RICHARD BOUGHTON of the Fire Department has voluntarily elected to participate in the DROP per application dated April 23, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, CAPTAIN RICHARD BOUGHTON has elected to DROP, effective June 19, 2012, per Appendix G of the applicable collective bargaining agreement, and WHEREAS, CAPTAIN RICHARD BOUGHTON has served the City of Sterling Heights Fire Department for 25 years and 3 days which includes 2 years, 2 months and 19 days of EMS service credit, as of the date of the DROP ELECTION, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that CAPTAIN RICHARD BOUGHTON meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to CAPTAIN RICHARD BOUGHTON and his spouse, MARY JO BOUGHTON, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, CAPTAIN RICHARD BOUGHTON has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 20. Richard Boughton - DROP resolution – discussion – cont. WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due CAPTAIN RICHARD BOUGHTON, as a result of this data, therefore be it RESOLVED, that CAPTAIN RICHARD BOUGHTON, after having been credited with 25 years and 3 days as of the date of the DROP ELECTION, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 19, 2012, and further RESOLVED, that CAPTAIN RICHARD BOUGHTON request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that CAPTAIN RICHARD BOUGHTON shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $115,615.20, and a yearly regular retirement pay in the amount of $88,925.64 or monthly benefits of $7,410.47, after DROP participation and termination of employment, and further RESOLVED, that CAPTAIN RICHARD BOUGHTON shall be credited $8,054.94 monthly during the period of DROP participation because distribution of the annuity withdrawal was deferred until termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay CAPTAIN RICHARD BOUGHTON the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution as presented. Ayes: All. The motion carried. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business – cont. 21. Jeffrey Cline - DROP resolution – discussion FEO Jeffrey Cline applied for the DROP from the Fire Department effective June 19, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-16 WHEREAS, FEO Jeffrey Cline of the Fire Department has voluntarily elected to participate in the DROP per application dated April 17, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, FEO Jeffrey Cline has elected to DROP, effective June 19, 2012, per Appendix G of the applicable collective bargaining agreement, and WHEREAS, FEO Jeffrey Cline has served the City of Sterling Heights Fire Department for 22 years and 3 days, which includes 4 years of military service credit; and 2 years, 1 month and 6 days of municipal service credit, as of the date of the DROP election, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that FEO Jeffrey Cline meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to FEO Jeffrey Cline and his spouse, LORI CLINE, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, FEO Jeffrey Cline has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has not requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 21. Jeffrey Cline - DROP resolution – discussion – cont. WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due FEO Jeffrey Cline as a result of this data, therefore be it RESOLVED, that FEO Jeffrey Cline after having been credited with 22 years and 3 days as of the date of the DROP election, and is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 19, 2012, and further RESOLVED, that FEO Jeffrey Cline shall be paid a yearly regular retirement pay in the amount of $76,957.56 or monthly benefits of $6,413.13, during DROP participation and after termination of employment because distribution of the annuity withdrawal was not requested, and further RESOLVED, that the Treasurer shall immediately calculate and pay FEO Jeffrey Cline the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution as presented. Ayes: All. The motion carried. 22. Kenneth P. Durham - DROP resolution – discussion Lt. Kenneth P. Durham applied for the DROP from the Fire Department effective June 19, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: R 12-9-20-17 WHEREAS, LIEUTENANT KENNETH PAUL DURHAM of the Fire Department has voluntarily elected to participate in the DROP per application dated April 10, 2012, as submitted to the Police and Fire Retirement Board, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 22. Kenneth Paul Durham - DROP resolution – discussion – cont. WHEREAS, LIEUTENANT KENNETH PAUL DURHAM has elected to DROP, effective June 19, 2012, per Appendix G of the applicable collective bargaining agreement, and WHEREAS, LIEUTENANT KENNETH PAUL DURHAM has served the City of Sterling Heights Fire Department for 22 years and 3 days, which includes 2 years, 6 months and 12 days of municipal service credit, and 2 years and 6 days of EMS service credit, as of the date of the DROP ELECTION, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that LIEUTENANT KENNETH PAUL DURHAM meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to LIEUTENANT KENNETH PAUL DURHAM and his spouse, DAWN DURHAM, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, LIEUTENANT KENNETH PAUL DURHAM has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due LIEUTENANT KENNETH PAUL DURHAM, as a result of this data, therefore be it REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 22. Kenneth Paul Durham - DROP resolution – discussion – cont. RESOLVED, that LIEUTENANT KENNETH PAUL DURHAM, after having been credited with 22 years and 3 days as of the date of the DROP ELECTION, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 19, 2012, and further RESOLVED, that LIEUTENANT KENNETH PAUL DURHAM request for annuity withdrawal, authorizing a payment representing the total amount of his contribution plus interest to the date of his participation in the DROP, be granted, and further RESOLVED, that LIEUTENANT KENNETH PAUL DURHAM shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $83,615.74, and a yearly regular retirement pay in the amount of $72,372.36 or monthly benefits of $6,031.03, after DROP participation and termination of employment, and further RESOLVED, that LIEUTENANT KENNETH PAUL DURHAM shall be credited $6,555.47 monthly during the period of DROP participation because distribution of the annuity withdrawal was deferred until termination of employment, and further RESOLVED, that the Treasurer shall immediately calculate and pay LIEUTENANT KENNETH PAUL DURHAM the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution as presented. Ayes: All. The motion carried. 23. Christopher Parmentier - DROP resolution – discussion Sgt. Christopher Parmentier applied for the DROP from the Fire Department effective June 19, 2012. All required paperwork is on file in the Pension Office. The following DROP retirement resolution was considered: REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 23. Christopher Parmentier - DROP resolution – discussion – cont. R 12-9-20-18 WHEREAS, SERGEANT CHRISTOPHER PARMENTIER of the Fire Department has voluntarily elected to participate in the DROP per application dated April 22, 2012, as submitted to the Police and Fire Retirement Board, and WHEREAS, SERGEANT CHRISTOPHER PARMENTIER has elected to DROP, effective June 19, 2012, per Appendix G of the applicable collective bargaining agreement, and WHEREAS, SERGEANT CHRISTOPHER PARMENTIER has served the City of Sterling Heights Fire Department for 23 years, which includes 5 years, 1 month and 23 days of municipal service credit, and 11 months and 25 days of EMS service credit, as of the date of the DROP ELECTION, and WHEREAS, the Trustees of the Police and Fire Retirement Board, Act 345 have verified that SERGEANT CHRISTOPHER PARMENTIER meets all those requirements for participation in the DROP as established in both Act 345 and the applicable collective bargaining agreement, and WHEREAS, the Trustees have provided all the necessary personal and financial data to the Board’s Actuary as it relates to SERGEANT CHRISTOPHER PARMENTIER and his spouse, KATHY PARMENTIER, and the necessary reports have been reviewed and completed by the Actuary, which includes a copy of his marriage license and his spouse’s full name, documentation re: date of birth, and social security number, and WHEREAS, SERGEANT CHRISTOPHER PARMENTIER has reviewed this data and has elected to receive his DROP participation benefit in the form of a regular retirement pension with a potential benefit of sixty (60%) percent of the regular retirement pension being paid to his surviving spouse, who must also be his spouse on the effective date of retirement and death, and WHEREAS, the forenamed member has not requested an annuity withdrawal (total lump sum distribution from the defined contribution plan) under the provisions of the Retirement System and collective bargaining agreement, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 23. Christopher Parmentier - DROP resolution – discussion – cont. WHEREAS, the Police and Fire Retirement Board is now in receipt of the necessary final average compensation amount. The Board of Trustees on receipt of this data forwarded it to the Board Actuary for the updated retirement data. The actuary has indicated to the Board, in writing, the retirement benefits due SERGEANT CHRISTOPHER PARMENTIER, as a result of this data, therefore be it RESOLVED, that SERGEANT CHRISTOPHER PARMENTIER, after having been credited with 23 years as of the date of the DROP ELECTION, is hereby granted DROP participation in accordance with Act 345 and the collective bargaining agreement, effective June 19, 2012, and further RESOLVED, that SERGEANT CHRISTOPHER PARMENTIER shall be paid a yearly regular retirement pay in the amount of $75,474.60 or monthly benefits of $6,289.55, during DROP participation and after termination of employment because distribution of the annuity withdrawal was not requested, and further RESOLVED, that the Treasurer shall immediately calculate and pay SERGEANT CHRISTOPHER PARMENTIER the appropriate amounts. All amounts shall be paid into the DROP account until the date of termination, after which time distribution shall be made in accordance with the collective bargaining agreement. Motion by Solak, supported by Wellhausen, to adopt the resolution as presented. Ayes: All. The motion carried. 25. Telephone – discussion Currently, the Board has 2 telephone lines on its present phone, the pension line and a City extension line. The City is changing to new phones. The pension phone number would have to stay on the old phone (the Board pays for that line) and the City extension number line would be on the new phone, so there would be 2 phones on the Pension Technician’s desk. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 25. Telephone – discussion – cont. The City IT Department would like the Board to consider eliminating the pension line and using only the City extension number line as the Pension number. Motion by Solak, supported by Wellhausen, to table this item until the October regular meeting to get more information from the City. Ayes: All. The motion carried. 11. Trustee Comments: None. 12. ADJOURNMENT Motion by Nash, supported by Solak, to adjourn at 4:29 p.m. Ayes: All. The motion carried; the meeting is hereby adjourned. Mark Wellhausen Secretary